By Juli Morris on June 8, 2009 in Labor Market Dynamics.

The American Trucking Associations' (ATS) For-Hire Truck Tonnage Index for April 2009 reported a decline for the second consecutive month, indicating continuing difficulty on the transportation hiring front.

In April, tonnage declined 13.2 percent year-over-year, which ATS labeled the largest drop in thirteen years. This follows a 12.2 percent drop in March 2009.

ATA Chief Economist Bob Costello noted that it could be a few more months before truck freight hits bottom:

"While most key economic indicators are decreasing at a slower rate, the year-over-year contractions in truck tonnage accelerated because businesses are right-sizing their inventories, which means fewer truck shipments," Costello said. "The absolute dollar value of inventories has fallen, but sales have decreased as much or more, which means that inventories are still too high for the current level of sales. Until this correction is complete, freight will be tough for motor carriers."

On June 5th, the BLS' preliminary report indicated a loss of 14,500 jobs in the transportation and warehousing industry in May, raising total job losses to 352,000 since employment peaked in December 2007.

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